ISYS2056 Business Computing 1

Question:

Grevillea Ridge Winery is a family-owned winery in Victoria’s Mornington Peninsula.

Michelle and Marcus Albertino own this property, which contains 20 hectares grape plantings. A cellar door is also available for the public.

Michelle and Marcus have been opening their cellar doors to the public seven days a week.

But, the majority of their cellar door sales take place on weekends. Marcus and Michelle recently decided to close the cellar doors on weekdays so they could concentrate on building their clientele via telephone and online sales.

Marcus manages grape production and oversees vineyard operations.

Michelle is responsible all other winery operations.

Two people assist her.

Eloise and Michael D’Angelo work full-time.

Customers who buy wine at the cellar doors are encouraged to join the ‘Grevillea Ridge Wine Club.

They receive updates on new wines and other special offers every month.

Michelle and her staff have also been marketing the wines to boutique wine retailers.

The company now has several wholesale customers (wine retails) who buy their wines at wholesale pricing.

Grevillea Ridge is Victoria’s oldest customer.

Michelle sees the expansion in other states to be a great opportunity for marketing.

Michelle expects staff and customers to be in regular contact. She also hopes to develop new wholesale clients.

In an effort boost sales, she decided to include a monthly deal in her marketing emails.

In February she offered 15% additional discount to all business retail customers and in March she gave free delivery to all customers.

Michelle has asked that you analyse the sales data to create a report on sales, and specifically the effectiveness and efficiency of her recent campaigns.

Michelle realizes that there may be other factors which could affect these results.

Before making your suggestions to improve the business, you should consider these factors.

An Excel spreadsheet has been created for you that contains the data regarding sales in January, February, March.Task:

In a professional business document, you should detail the analysis, findings and recommendations that were prepared for Michelle.

Include these items in your report

A brief Introduction that clearly outlines the purpose and scope of the report.

A brief description of the analysis performed using the data from the spreadsheet.

An exchange about your analysis’s results.Identification/discussion regarding other factorsthat may be affecting the results.

A brief summary of all the content in the report.

Finally, there are at most two clear recommendations that Marcus or Michelle can make.

These recommendations must be drawn out of the analysis that was done, and must be discussed in the report’s body.

Answer to Question: ISYS2056 Business Computing 1

IntroductionGrevillea Ridge Strategic Operations

Michelle and Marcus own Grevillea ridge, a winery.

The winery is located in Victoria Mornington.

The wine business is run by Michael D’Angelo (the family’s permanent staff) and Eloise, who work part time on two days a week. Grevillea has sufficient space to plant grapes, which are the raw material for the wine.

The vineyard covers more than 20 hectares.

Because the family owns the land, they can reduce their costs for leasing.

The company also has a cellar that can be used as a shop.

In an effort to attract more customers as well as increase the reliability of customers, the business was opened to the general public for a week.

Michelle and Marcus shared responsibility. Marcus was in charge for wine production and tending the grapes while Michelle was in charge packaging and selling the wine.

Michelle and Marcus saw the opportunity to make more sales over weekends. Therefore, they decided that technology was revolutionizing their business and would focus on selling online as well as providing support through the telephone.

Because most customers shop online, the two family members recognized an opportunity. They could reach a wider audience and minimize costs.

Grevillea Ridge Wine was recommended to customers who bought through the cellar door.

After signing up, they were notified by email about specials and new product.

The wine company is also able to market the wines to several boutique stores.

The wine company has gained many customers through hard work, particularly wine wholesalers who have purchased the wine at a trading price.

The wine company now enjoys loyal customers who continue to buy wine from them.

Because they are only able to operate in Victoria, the company’s vision is to expand.

Figure 1.

Figure 1.

Analyse

The wine is their top seller, since their business was initially specialized in wine production.

After beer, RTDs and spirits are their second most popular sales.

Regular customers are regular customers of the company who frequently buy on a consistent basis.

Broome Beer is their customer. They also have customers like Euro Bar, WA beer halls, Murphy suppliers and Beers of Asia.

They have the best customers, Euro bar who purchase wine on a regular basis.

The lager bars are the second most loyal customers, which buy wine, spirits, as well as beer.

The WA beer hall bought the most product. Broome Beer was their next purchase.

Euro purchased all the product, including beer, spirits, RTDs, and wine.

Beer of Asia bought wine and RTDs.

European Tasters bought both beer AND RTDs.

The Lager Bar bought all the products but RTDs.

Thirsty work procured both beer as well as RTDs.

Broome Beer bought beer only while the Broome Beer shopped for wine.

Their analysis showed that some customers had a problem with Broome Beers and other outback Beers.

This could mean that they sell only these products or have other loyal suppliers.

RTDs are one example of a product that was not sold in large quantities to Beer of Asia.

This is good news for businesses as most of the suppliers purchased the products in bulk.

The wholesalers were given discounts, particularly if they bought bulk products.

Figure 2: This is the figure that shows bulk products purchased wholesale.Recommendation.

Grevillea ridge should focus on their online business to broaden their customer base.

Online marketing of the products will allow the company expand and meet new customers.

This will also open the door to expansion into new states.

The telephone sales and marketing allows them to offer after sales service where clients can provide feedback.

This makes it easy for customers to reach out to the business, even if they are miles away.

To minimize the cost of shipping, the company should offer free delivery for wholesalers.

This will allow you to attract more customers by lowering the customer’s transport costs.

They should continue to offer seven day sales. Some customers love to taste the products before making a purchase.

In order to expand their customer base, the company needs to hire more employees.

Grevillea ridge should advertise their business in different strategic places to attract customers and to establish a strong brand.

Building a brand will allow the business to stand apart and be known by its customers.

Conclusion

Grevillea ridge has strong roots as it is a family-owned company.

Being a family business reduces the cost of leasing land for wine production.

The company should see this as a competitive advantage and use the profit to market their products.

They should also invest in customer research to be able to outperform their competitors and reach a larger market.

If customers buy more goods, the company should continue to offer wholesale discounts.

Customers will give them incentives to grow their market share.

To offer fast service to their customers, they should employ more people.

They should continue to email their customers, and create bonus programs and customer loyalty programmes.

Grevillea Ridge needs to come up new products or targeted at a particular market group.

The company’s strategic operations have been successful and they can now add the following strategies to increase their market share and retain customers.

After establishing a client base that is suitable, the company should look to expand to other states as well as enter the global marketplace.